Gas Price Reduction Act of 2008

ARRA News Service - Senate Republicans unveiled a new energy plan, the Gas Price Reduction Act of 2008, which will open up the outer continental shelf for oil exploration and remove the moratorium on Western oil shale exploration imposed by Democrats last year.

The new bill, cosponsored by 42 Republican senators, is designed to give Democrats another chance to support more American energy and more American jobs. While Republicans in the Senate continue to strongly support environmentally responsible oil exploration in ANWR, the new bill is designed to remove that as an excuse for Democrats to hide behind. If Senate Democrats will not support these sensible ways to increase American access to oil and natural gas, and thus alleviate some of the pressure pushing gas prices higher, they will have to go home next week and explain to their constituents why.

In contrast, Senate Democrats have offered nothing except taxation, regulation and litigation in response to the problem of high energy costs. House Democrats’ continue to fumble on energy legislation, as the continue to put forth proposals that will do nothing to lower gas prices.

Summary of Provisions
TITLE I – DEEP SEA EXPLORATION (OCS)
14 Billion Barrels On Atlantic and Pacific OCS – More Than All US Imports From Persian Gulf Countries Over The Last 15 Years

• State Option Nationwide (except Gulf of Mexico)
• Governor petitions to allow exploration, with concurrence of state legislature
• Exploration must be at least 50 miles from coast
• 50% of revenues to Federal Treasury, 37.5% to States, 12.5% to Land & Water Conservation Fund

TITLE II: WESTERN STATE OIL SHALE EXPLORATION
More Than 3 Times The Oil Reserves Of Saudi Arabia

• 800 billion - 2 trillion potentially recoverable barrels in Colorado, Utah, Wyoming
• Democrat Congress put moratorium on final regulations for development of this resource
• Republican proposal would repeal the moratorium and allow exploration to move forward

TITLE III: PLUG-IN ELECTRIC CARS AND TRUCKS

• We need better batteries to maximize electricity range & use less gas
• Increased R&D for advanced batteries
• Direct Loans for advanced battery manufacturing facilities
• Sense of Senate that the Federal Government should increase its purchases of these vehicles

TITLE IV: STRENGTHENING U.S. FUTURES MARKETS

• Authorizes increased funding/staff for Commodity Futures Trading Commission (CFTC)
• Directs the President’s Working Group on Financial Markets to study the international regulation of commodities markets
• Codifies CFTC action on position limits and transparency for foreign boards of trade
• Requires the CFTC to gather information on index traders and swap dealers